MFS SERIES TRUST III
NSAR-B, 1999-03-30
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<PAGE>      PAGE  1
000 B000000 01/31/99
000 C000000 0000225604
000 D000000 N
000 E000000 NF
000 F000000 Y
000 G000000 N
000 H000000 N
000 I000000 3.0.a
000 J000000 A
001 A000000 MFS SERIES TRUST III
001 B000000 811-2794
001 C000000 6179545000
002 A000000 500 BOYLSTON STREET
002 B000000 BOSTON
002 C000000 MA
002 D010000 02116
003  000000 N
004  000000 N
005  000000 N
006  000000 N
007 A000000 Y
007 B000000  3
007 C010100  1
007 C020100 MFS HIGH INCOME FUND
007 C030100 N
007 C010200  2
007 C020200 MFS MUNICIPAL HIGH INCOME FUND
007 C030200 N
007 C010300  3
007 C020300 MFS HIGH YIELD OPPORTUNITIES FUND
007 C030300 N
007 C010400  4
007 C010500  5
007 C010600  6
007 C010700  7
007 C010800  8
007 C010900  9
007 C011000 10
008 A00AA01 MASSACHUSETTS FINANCIAL SERVICE COMPANY
008 B00AA01 A
008 C00AA01 801-17352
008 D01AA01 BOSTON
008 D02AA01 MA
008 D03AA01 02116
010 A00AA01 MASSACHUSETTS FINANCIAL SERVICES COMPANY
010 B00AA01 801-17352
010 C01AA01 BOSTON
010 C02AA01 MA
010 C03AA01 02116
011 A00AA01 MFS FUND DISTRIBUTORS, INC.
011 B00AA01 8-27864
<PAGE>      PAGE  2
011 C01AA01 BOSTON
011 C02AA01 MA
011 C03AA01 02116
012 A00AA01 MFS SERVICE CENTER, INC.
012 B00AA01 84-1316
012 C01AA01 BOSTON
012 C02AA01 MA
012 C03AA01 02116
018  00AA00 Y
019 A00AA00 Y
019 B00AA00   53
019 C00AA00 MASSFINSER
020 A000001 MERRILL LYNCH
020 B000001 13-5674085
020 C000001     10
020 A000002 GRANT CHESTER
020 B000002 00-0000000
020 C000002      5
020 A000003 GOLDMAN SACHS & CO.
020 B000003 13-5108880
020 C000003      2
020 C000004      0
020 C000005      0
020 C000006      0
020 C000007      0
020 C000008      0
020 C000009      0
020 C000010      0
021  000000       17
022 A000001 GENERAL ELECTRIC CO.
022 B000001 00-0000000
022 C000001    483157
022 D000001      4988
022 A000002 MERRILL LYNCH
022 B000002 13-5674085
022 C000002    261037
022 D000002    217359
022 A000003 PRUDENTIAL SECURITIES
022 B000003 22-2347336
022 C000003    261202
022 D000003     72122
022 A000004 MORGAN (J.P) SECURITIES
022 B000004 13-3224016
022 C000004    183628
022 D000004    122012
022 A000005 DONALD,LUFKIN AND JENRETTE
022 B000005 00-0000000
022 C000005    181518
022 D000005    104498
022 A000006 NATIONS BANK
022 B000006 75-0520130
<PAGE>      PAGE  3
022 C000006    218165
022 D000006     55188
022 A000007 SMITH BARNEY
022 B000007 13-1912900
022 C000007    161117
022 D000007     92538
022 A000008 CAROL MC ENTEE
022 B000008 00-0000000
022 C000008    206753
022 D000008     29854
022 A000009 BEAR STERNS SECURITIES
022 B000009 13-3299429
022 C000009    145624
022 D000009     89628
022 A000010 MORGAN STANLEY AND CO, INC.,
022 B000010 13-2655998
022 C000010    113894
022 D000010     85792
023 C000000    2516095
023 D000000     873979
026 A000000 Y
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054 E00AA00 N
054 F00AA00 N
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054 J00AA00 Y
054 K00AA00 N
054 L00AA00 N
054 M00AA00 Y
054 N00AA00 N
054 O00AA00 N
066 A00AA00 N
067  00AA00 N
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069  00AA00 N
077 A000000 Y
<PAGE>      PAGE  4
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013 A000101 DELOITTE & TOUCHE LLP
013 B010101 BOSTON
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013 B030101 02110
015 A000101 STATE STREET BANK AND TRUST COMPANY
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015 C020101 MA
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015 E010101 X
015 A000102 CHASE MANHATTAN BANK, N.A.
015 B000102 S
015 C010102 NEW YORK
015 C020102 NY
015 C030102 10081
015 E040102 X
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015 B000103 S
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024  000100 Y
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025 C000101 D
<PAGE>      PAGE  5
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<PAGE>      PAGE  6
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055 B000100 N
<PAGE>      PAGE  7
056  000100 Y
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<PAGE>      PAGE  8
070 L010100 Y
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<PAGE>      PAGE  9
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013 A000201 ERNST & YOUNG LLP
013 B010201 BOSTON
013 B020201 MA
013 B030201 02116
015 A000201 STATE STREET BANK AND TRUST COMPANY
015 B000201 C
015 C010201 BOSTON
015 C020201 MA
015 C030201 02110
015 E010201 X
015 A000202 THE BANK OF NEW YORK
015 B000202 S
015 C010202 NEW YORK
015 C020202 NY
<PAGE>      PAGE  10
015 C030202 10286
015 E010202 X
015 A000203 CHASE MANHATTAN BANK, N.A.
015 B000203 S
015 C010203 NEW YORK
015 C020203 NY
015 C030203 10081
015 E010203 X
015 A000204 MORGAN GUARANTY TRUST COMPANY
015 B000204 S
015 C010204 NEW YORK
015 C020204 NY
015 C030204 10015
015 E010204 X
015 A000205 BANKERS TRUST COMPANY
015 B000205 S
015 C010205 NEW YORK
015 C020205 NY
015 C030205 10015
015 E010205 X
024  000200 N
025 A000201 DELETE
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<PAGE>      PAGE  11
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<PAGE>      PAGE  12
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<PAGE>      PAGE  13
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<PAGE>      PAGE  14
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<PAGE>      PAGE  15
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013 A000301 DELOITTE & TOUCHE LLP
013 B010301 BOSTON
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015 A000301 STATE STREET BANK AND TRUST COMPANY
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015 E010301 X
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<PAGE>      PAGE  16
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<PAGE>      PAGE  17
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<PAGE>      PAGE  18
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<PAGE>      PAGE  19
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<TABLE> <S> <C>

<ARTICLE> 6
<CIK> 0000225604
<NAME> MFS SERIES TRUST III
<SERIES>
   <NUMBER> 031
   <NAME> MFS HIGH YIELD OPPURTUNITIES FUND CLASS A
<MULTIPLIER> 1
       
<S>                             <C>
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</TABLE>

<TABLE> <S> <C>

<ARTICLE> 6
<CIK> 0000225604
<NAME> MFS SERIES TRUST III
<SERIES>
   <NUMBER> 032
   <NAME> MFS HIGH YIELD OPPURTUNITIES FUND CLASS B
<MULTIPLIER> 1
       
<S>                             <C>
<PERIOD-TYPE>                   YEAR
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</TABLE>

<TABLE> <S> <C>

<ARTICLE> 6
<CIK> 0000225604
<NAME> MFS SERIES TRUST III
<SERIES>
   <NUMBER> 033
   <NAME> MFS HIGH YIELD OPPURTUNITIES FUND CLASS C
<MULTIPLIER> 1
       
<S>                             <C>
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</TABLE>

<TABLE> <S> <C>

<ARTICLE> 6
<CIK> 0000225604
<NAME> MFS SERIES TRUST III
<SERIES>
   <NUMBER> 034
   <NAME> MFS HIGH YIELD OPPURTUNITIES FUND CLASS I
<MULTIPLIER> 1
       
<S>                             <C>
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</TABLE>

<TABLE> <S> <C>

<ARTICLE> 6
<CIK> 0000225604
<NAME> MFS SERIES TRUST III
<SERIES>
   <NUMBER> 011
   <NAME> MFS HIGH INCOME FUND CLASS A
<MULTIPLIER> 1
       
<S>                             <C>
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</TABLE>

<TABLE> <S> <C>

<ARTICLE> 6
<CIK> 0000225604
<NAME> MFS SERIES TRUST III
<SERIES>
   <NUMBER> 012
   <NAME> MFS HIGH INCOME FUND CLASS B
<MULTIPLIER> 1
       
<S>                             <C>
<PERIOD-TYPE>                   YEAR
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</TABLE>

<TABLE> <S> <C>

<ARTICLE> 6
<CIK> 0000225604
<NAME> MFS SERIES TRUST III
<SERIES>
   <NUMBER> 013
   <NAME> MFS HIGH INCOME FUND CLASS C
<MULTIPLIER> 1
       
<S>                             <C>
<PERIOD-TYPE>                   YEAR
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</TABLE>

<TABLE> <S> <C>

<ARTICLE> 6
<CIK> 0000225604
<NAME> MFS SERIES TRUST III
<SERIES>
   <NUMBER> 014
   <NAME> MFS HIGH INCOME FUND CLASS I
<MULTIPLIER> 1
       
<S>                             <C>
<PERIOD-TYPE>                   YEAR
<FISCAL-YEAR-END>                          JAN-31-1999
<PERIOD-START>                             FEB-01-1998
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<PAYABLE-FOR-SECURITIES>                      21245692
<SENIOR-LONG-TERM-DEBT>                              0
<OTHER-ITEMS-LIABILITIES>                      7281307
<TOTAL-LIABILITIES>                           28526999
<SENIOR-EQUITY>                                      0
<PAID-IN-CAPITAL-COMMON>                    1572574556
<SHARES-COMMON-STOCK>                          1664289
<SHARES-COMMON-PRIOR>                           642700
<ACCUMULATED-NII-CURRENT>                            0
<OVERDISTRIBUTION-NII>                       (3855509)
<ACCUMULATED-NET-GAINS>                              0
<OVERDISTRIBUTION-GAINS>                   (166139215)
<ACCUM-APPREC-OR-DEPREC>                    (28767646)
<NET-ASSETS>                                1373812186
<DIVIDEND-INCOME>                              1659710
<INTEREST-INCOME>                            120180854
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<NET-INVESTMENT-INCOME>                      106043440
<REALIZED-GAINS-CURRENT>                    (17292751)        
<APPREC-INCREASE-CURRENT>                   (69417161)
<NET-CHANGE-FROM-OPS>                         19333528
<EQUALIZATION>                                       0
<DISTRIBUTIONS-OF-INCOME>                     (579998)
<DISTRIBUTIONS-OF-GAINS>                             0
<DISTRIBUTIONS-OTHER>                          (11553)
<NUMBER-OF-SHARES-SOLD>                        1073851
<NUMBER-OF-SHARES-REDEEMED>                   (162953)
<SHARES-REINVESTED>                             110691
<NET-CHANGE-IN-ASSETS>                       158691851
<ACCUMULATED-NII-PRIOR>                              0
<ACCUMULATED-GAINS-PRIOR>                     40649515
<OVERDISTRIB-NII-PRIOR>                      (2800915)
<OVERDIST-NET-GAINS-PRIOR>                 (229189864)         
<GROSS-ADVISORY-FEES>                          5666195
<INTEREST-EXPENSE>                                   0
<GROSS-EXPENSE>                               16132797
<AVERAGE-NET-ASSETS>                        1271372229
<PER-SHARE-NAV-BEGIN>                             5.61
<PER-SHARE-NII>                                   0.49
<PER-SHARE-GAIN-APPREC>                         (0.40)
<PER-SHARE-DIVIDEND>                            (0.49)
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<RETURNS-OF-CAPITAL>                                 0
<PER-SHARE-NAV-END>                               5.21
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</TABLE>

<TABLE> <S> <C>

<ARTICLE> 6
<CIK> 0000225604
<NAME> MFS SERIES TRUST III
<SERIES>
   <NUMBER> 021
   <NAME> MFS MUNICIPAL HIGH INCOME FUND CLASS A
<MULTIPLIER> 1
       
<S>                             <C>
<PERIOD-TYPE>                     YEAR
<FISCAL-YEAR-END>                          JAN-31-1999
<PERIOD-START>                             FEB-01-1998
<PERIOD-END>                               JAN-31-1999
<INVESTMENTS-AT-COST>                       1390442176
<INVESTMENTS-AT-VALUE>                      1524705709
<RECEIVABLES>                                 36851677
<ASSETS-OTHER>                                   47369
<OTHER-ITEMS-ASSETS>                              8794
<TOTAL-ASSETS>                              1561613549
<PAYABLE-FOR-SECURITIES>                      21135115
<SENIOR-LONG-TERM-DEBT>                              0
<OTHER-ITEMS-LIABILITIES>                      6065384
<TOTAL-LIABILITIES>                           27200499
<SENIOR-EQUITY>                                      0
<PAID-IN-CAPITAL-COMMON>                    1571026885
<SHARES-COMMON-STOCK>                        129407328 
<SHARES-COMMON-PRIOR>                        122019211  
<ACCUMULATED-NII-CURRENT>                      2468242
<OVERDISTRIBUTION-NII>                               0
<ACCUMULATED-NET-GAINS>                              0
<OVERDISTRIBUTION-GAINS>                   (173752637)
<ACCUM-APPREC-OR-DEPREC>                     134670560
<NET-ASSETS>                                1534413050
<DIVIDEND-INCOME>                                    0
<INTEREST-INCOME>                             95677533
<OTHER-INCOME>                                       0
<EXPENSES-NET>                              (14156897)
<NET-INVESTMENT-INCOME>                       81520636
<REALIZED-GAINS-CURRENT>                        375373
<APPREC-INCREASE-CURRENT>                    (6636995)
<NET-CHANGE-FROM-OPS>                         75259014
<EQUALIZATION>                                       0
<DISTRIBUTIONS-OF-INCOME>                   (66082785)
<DISTRIBUTIONS-OF-GAINS>                             0
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<NUMBER-OF-SHARES-SOLD>                       30441333
<NUMBER-OF-SHARES-REDEEMED>                 (25859959)
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<NET-CHANGE-IN-ASSETS>                       162657424
<ACCUMULATED-NII-PRIOR>                         534220
<ACCUMULATED-GAINS-PRIOR>                            0
<OVERDISTRIB-NII-PRIOR>                              0
<OVERDIST-NET-GAINS-PRIOR>                 (174480602)
<GROSS-ADVISORY-FEES>                          8822060
<INTEREST-EXPENSE>                                   0
<GROSS-EXPENSE>                               14660017
<AVERAGE-NET-ASSETS>                        1444204358
<PER-SHARE-NAV-BEGIN>                             9.07
<PER-SHARE-NII>                                   0.53
<PER-SHARE-GAIN-APPREC>                         (0.04)
<PER-SHARE-DIVIDEND>                            (0.53)
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<EXPENSE-RATIO>                                   0.81
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</TABLE>

<TABLE> <S> <C>

<ARTICLE> 6
<CIK> 0000225604
<NAME> MFS SERIES TRUST III
<SERIES>
   <NUMBER> 022
   <NAME> MFS MUNICIPAL HIGH INCOME FUND CLASS B
<MULTIPLIER> 1
       
<S>                             <C>
<PERIOD-TYPE>                     YEAR
<FISCAL-YEAR-END>                          JAN-31-1999
<PERIOD-START>                             FEB-01-1998
<PERIOD-END>                               JAN-31-1999
<INVESTMENTS-AT-COST>                       1390442176
<INVESTMENTS-AT-VALUE>                      1524705709
<RECEIVABLES>                                 36851677
<ASSETS-OTHER>                                   47369
<OTHER-ITEMS-ASSETS>                              8794
<TOTAL-ASSETS>                              1561613549
<PAYABLE-FOR-SECURITIES>                      21135115
<SENIOR-LONG-TERM-DEBT>                              0
<OTHER-ITEMS-LIABILITIES>                      6065384
<TOTAL-LIABILITIES>                           27200499
<SENIOR-EQUITY>                                      0
<PAID-IN-CAPITAL-COMMON>                    1571026885
<SHARES-COMMON-STOCK>                         40172395
<SHARES-COMMON-PRIOR>                         29132515
<ACCUMULATED-NII-CURRENT>                      2468242
<OVERDISTRIBUTION-NII>                               0
<ACCUMULATED-NET-GAINS>                              0
<OVERDISTRIBUTION-GAINS>                   (173752637)
<ACCUM-APPREC-OR-DEPREC>                     134670560
<NET-ASSETS>                                1534413050
<DIVIDEND-INCOME>                                    0
<INTEREST-INCOME>                             95677533
<OTHER-INCOME>                                       0
<EXPENSES-NET>                              (14156897)
<NET-INVESTMENT-INCOME>                       81520636
<REALIZED-GAINS-CURRENT>                        375373
<APPREC-INCREASE-CURRENT>                    (6636995)
<NET-CHANGE-FROM-OPS>                         75259014
<EQUALIZATION>                                       0
<DISTRIBUTIONS-OF-INCOME>                   (15565956)
<DISTRIBUTIONS-OF-GAINS>                             0
<DISTRIBUTIONS-OTHER>                                0
<NUMBER-OF-SHARES-SOLD>                       14320086
<NUMBER-OF-SHARES-REDEEMED>                  (3840591)
<SHARES-REINVESTED>                             560385
<NET-CHANGE-IN-ASSETS>                       162657424
<ACCUMULATED-NII-PRIOR>                         534220
<ACCUMULATED-GAINS-PRIOR>                            0
<OVERDISTRIB-NII-PRIOR>                              0
<OVERDIST-NET-GAINS-PRIOR>                 (174480602)
<GROSS-ADVISORY-FEES>                          8822060
<INTEREST-EXPENSE>                                   0
<GROSS-EXPENSE>                               14660017
<AVERAGE-NET-ASSETS>                        1444204358
<PER-SHARE-NAV-BEGIN>                             9.08
<PER-SHARE-NII>                                   0.45
<PER-SHARE-GAIN-APPREC>                         (0.04)
<PER-SHARE-DIVIDEND>                            (0.45)
<PER-SHARE-DISTRIBUTIONS>                            0
<RETURNS-OF-CAPITAL>                                 0
<PER-SHARE-NAV-END>                               9.04
<EXPENSE-RATIO>                                   1.69
<AVG-DEBT-OUTSTANDING>                               0
<AVG-DEBT-PER-SHARE>                                 0
        

</TABLE>

<TABLE> <S> <C>

<ARTICLE> 6
<CIK> 0000225604
<NAME> MFS SERIES TRUST III
<SERIES>
   <NUMBER> 023
   <NAME> MFS MUNICIPAL HIGH INCOME FUND CLASS C 	
<MULTIPLIER> 1
       
<S>                             <C>
<PERIOD-TYPE>                     YEAR
<FISCAL-YEAR-END>                          JAN-31-1999
<PERIOD-START>                             FEB-01-1998
<PERIOD-END>                               JAN-31-1999
<INVESTMENTS-AT-COST>                       1390442176
<INVESTMENTS-AT-VALUE>                      1524705709
<RECEIVABLES>                                 36851677
<ASSETS-OTHER>                                   47369
<OTHER-ITEMS-ASSETS>                              8794
<TOTAL-ASSETS>                              1561613549
<PAYABLE-FOR-SECURITIES>                      21135115
<SENIOR-LONG-TERM-DEBT>                              0
<OTHER-ITEMS-LIABILITIES>                      6065384
<TOTAL-LIABILITIES>                           27200499
<SENIOR-EQUITY>                                      0
<PAID-IN-CAPITAL-COMMON>                    1571026885
<SHARES-COMMON-STOCK>                           317766
<SHARES-COMMON-PRIOR>                                0
<ACCUMULATED-NII-CURRENT>                      2468242
<OVERDISTRIBUTION-NII>                               0
<ACCUMULATED-NET-GAINS>                              0
<OVERDISTRIBUTION-GAINS>                   (173752637)
<ACCUM-APPREC-OR-DEPREC>                     134670560
<NET-ASSETS>                                1534413050
<DIVIDEND-INCOME>                                    0
<INTEREST-INCOME>                             95677533
<OTHER-INCOME>                                       0
<EXPENSES-NET>                              (14156897)
<NET-INVESTMENT-INCOME>                       81520636
<REALIZED-GAINS-CURRENT>                        375373
<APPREC-INCREASE-CURRENT>                    (6636995)
<NET-CHANGE-FROM-OPS>                         75259014
<EQUALIZATION>                                       0
<DISTRIBUTIONS-OF-INCOME>                      (19190)
<DISTRIBUTIONS-OF-GAINS>                             0
<DISTRIBUTIONS-OTHER>                                0
<NUMBER-OF-SHARES-SOLD>                         326949
<NUMBER-OF-SHARES-REDEEMED>                    (10243)
<SHARES-REINVESTED>                               1060
<NET-CHANGE-IN-ASSETS>                       162657424
<ACCUMULATED-NII-PRIOR>                         534220
<ACCUMULATED-GAINS-PRIOR>                            0
<OVERDISTRIB-NII-PRIOR>                              0
<OVERDIST-NET-GAINS-PRIOR>                 (174480602)
<GROSS-ADVISORY-FEES>                          8822060
<INTEREST-EXPENSE>                                   0
<GROSS-EXPENSE>                               14660017
<AVERAGE-NET-ASSETS>                        1444204358
<PER-SHARE-NAV-BEGIN>                             9.10
<PER-SHARE-NII>                                   0.15
<PER-SHARE-GAIN-APPREC>                         (0.06)
<PER-SHARE-DIVIDEND>                            (0.15)
<PER-SHARE-DISTRIBUTIONS>                            0
<RETURNS-OF-CAPITAL>                                 0
<PER-SHARE-NAV-END>                               9.04
<EXPENSE-RATIO>                                   1.75
<AVG-DEBT-OUTSTANDING>                               0
<AVG-DEBT-PER-SHARE>                                 0
        

</TABLE>


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